Senator Lummis Warns DOJ Sale of 57 BTC Threatens U.S. Strategic Bitcoin Reserve

Pro-crypto Senator Cynthia Lummis has raised fresh concerns over how the U.S. government is handling forfeited Bitcoin.

On Tuesday, Bitcoin Magazine reported that the Department of Justice (DOJ) may have sold Bitcoins linked to the Samourai Wallet case. According to the report, the U.S. Marshals Service (USMS) offloaded roughly $6.3 million worth of Bitcoin on behalf of the DOJ.

For context, Samourai Wallet developers William Lonergan Hill and Keonne Rodriguez forfeited approximately 57.55 BTC to the government as part of a plea agreement reached in November 2025. Rather than holding the assets in government custody, authorities routed the Bitcoin directly to a Coinbase Prime address.

Typically, transfers to exchange-linked addresses signal an imminent sale. In line with this assumption, on-chain data from Arkham shows that the Coinbase Prime address currently holds a zero balance, indicating that the Bitcoin was sold almost immediately after the transfer.

Senator Lummis Questions Recent Government Bitcoin Sale 

The development sparked concerns among Bitcoin proponents, with Senator Lummis questioning why federal agencies continue to sell BTC in violation of President Donald Trump’s directive. 

Notably, the U.S. President signed an executive order last year directing that forfeited BTC be retained as part of the U.S. Strategic Bitcoin Reserve (SBR). Following reports of sales, Senator Lummis warned that the U.S. risks undermining its long-term strategic position by squandering its forfeited Bitcoins, while other countries are actively accumulating the asset.

US’ SBR Initiative 

Before the election, Trump disclosed plans to create a Strategic Bitcoin Reserve for the United States. Notably, Lummis also supported this plan by drafting a bill that requires the government to hold 1 million BTC for at least 20 years. 

Following Trump’s inauguration, he signed an executive order to set up a Bitcoin reserve that will not cost taxpayers a dime. The directive stipulated that the reserve will be funded with assets forfeited via criminal or civil proceedings. 

A Violation of Trump’s Executive Order? 

However, the reported sale of Samourai Wallet’s forfeited BTC may have violated the executive order. The report cited comments from a legal analyst who emphasized that neither the forfeiture statutes under 18 U.S.C. § 982 nor related provisions require forfeited assets to be converted into cash. Instead, the law permits the government to hold assets in kind, aligning with the executive order’s intent to treat Bitcoin as a strategic reserve asset rather than a liability to be disposed of. 

Meanwhile, despite the DOJ’s reported sale, the U.S. government still holds a substantial amount of BTC. According to Arkham, the government has around 328,372 BTC, valued at roughly $30.8 billion.